The federal and Manitoba governments are investing over $79 million to upgrade the Hudson Bay Railway and Port of Churchill, strengthening northern trade infrastructure.
The Government of Canada has committed $43 million to complete railway restoration, while Manitoba is allocating $36.4 million to modernize aging port infrastructure.
The rail line, crucial for shipping grain and supplies to Europe and Nunavut, was shut down in 2017 after severe flooding. It was later acquired by Arctic Gateway Group, a consortium of northern and First Nation communities, and reopened in 2018.
Diversifying Trade Amid Uncertainty
Manitoba Premier Wab Kinew emphasized the project’s role in ensuring long-term economic security amid uncertain U.S.-Canada trade relations. He highlighted the port’s potential for exporting critical minerals vital to the low-carbon and defense industries.
“This is about diversifying our markets,” Kinew said, underscoring Canada’s need to explore new trade routes beyond the U.S. A shipment of critical minerals was sent from the port last summer, with plans to double exports this year.
Federal Minister Terry Duguid noted the investment will keep northern communities connected and establish Manitoba as a global player in critical minerals.
This funding follows a $60 million investment from both governments last year, reinforcing the Port of Churchill’s growing role in Canada’s Arctic trade network.